8- The Oakville Beaver Weekend, Saturday January 13, 2007 www.oakvillebeaver.com Young CEO accused of stealing millions Adam Spencer wanted in connection with $8M fraud By Betsy Powell and John Duncanson Torstar Wire Services Police across Canada are searching for a young Oakville man who allegedly bilked millions of dollars from unsuspecting investors. A Canada-wide warrant has been issued for Adam Spencer, 25. Spencer was president and CEO of an upstart information technology company and a motivational speaker. But with his company's Toronto offices closed and his whereabouts unknown, police allege, his real job was fleecing scores of investors of Adam Spencer $8 million. "The long and short of it is I invested a bunch of money with a few other fellows and we got taken to the cleaners," said Peter Leupen, who invested $80,000 in Spencer's company, Emexis Integrated Solutions Inc. All bought in to Spencer's "slick" sell and lofty business plan that promised investors hefty returns on their money once he took his private company public. "Certainly, he talked a great story," said Leupen, who is in media sales. No one suspected that the recent university graduate living with his parents in Oakville had concocted a "sophisticated fraud," according to one of several lawsuits filed against the former Queen's University student, who is wanted on a Canada-wide warrant for fraud. Police allege between September 2005 and May 2006, investors bought shares in Emexis at 50 cents each with the option to purchase an equal number of shares at 75 cents with the view to taking the company public. But Spencer told them later he had changed his mind and it would remain a private firm. BARRIE ERSKINE / OAKVILLE BEAVER NOT AT HOME: Elizabeth and John Spencer, parents of Adam Spencer -- who's wanted on a Canadawide warrant in connection with an investment fraud -- live in this house on Avon Crescent in Oakville. To compensate them, he said he would buy back all their shares for $1 apiece. But that never happened and the money collected was never returned. At one point last year, Leupen received an email from one of the company's three vice-presidents telling him his money was with the CIBC, but that the "delay was simply unavoidable in light of Enron." The bookish young man, who has delivered lectures to entrepreneurial conferences at his alma mater, attended a 2004 conference in Washington D.C. where he addressed a forum that brought together "thought leaders." It appears he had been living the high life, hob knobbing with race car drivers and spending his summer weekends cutting through waves in his $120,000 Mastercraft X-Star boat. Property records show that he and his parents, John and Elizabeth Spencer, bought a $1.7 million home in Oakville last January, just months before investors started asking questions about where their money was. He drove a $45,000 Mini Cooper. Police have been question- "The timing is now for Emexis to succeed. Should you choose to invest, you will be associated with a young and aggressive management team comprised of leaders with proven skills and entrepreneurial track records." Emexis website ing neighbours in the wooded enclave of Eastlake, in east Oakville trying to get information about Spencer's whereabouts. Its value is uncertain. When it came to setting up shop, Spencer picked loft-like offices on the fourth floor of a building on Peter St. in the heart of Toronto's Entertainment District. According to the firm's website, which is still up and running even though the company is not, Spencer worked there with a small team offering clients an "unmatchable industry standard of service" and an approach "that is unique." "The timing is now for Emexis to succeed," it reads. "Should you choose to invest, you will be associated with a young and aggressive management team comprised of leaders with proven skills and entrepreneurial track records." A sign is now taped over the company's sleek blue logo on the door outside the open-concept offices that have polished wooden floors and exposed brick walls. A man in an office across the hall yesterday said the landlord locked the staff out about three months ago and auctioned off the furniture for unpaid rent, although a few pricey-looking items remain, including a plush dark brown sofa and area rug. The office neighbour recalled chatting with Spencer a few times and was struck by his lofty ambitions. "He was talking about taking over our offices," he said, shaking his head. "There was no tomorrow, all today." He said he didn't know what the company did and even his technology-minded associate couldn't figure it out even after visiting the website. Contacted on the phone Wednesday, Chris Celovsky, who was once a vice-president See Race page 13 Welcome to Spice Your Kitchen. Making Your Cooking Fun & Easy ing Fu · Knives and Garnishing Tools · Spice Racks · Small Appliances · Cookware and Tableware · Linens, Aprons and Mitts · Bakeware · Barware · Espresso Makers and Accessories Hours: Monday-Friday 10am - 6pm Saturday 10am - 5pm Sunday CLOSED River Glen Mews Plaza 2530 6th Line, Oakville (905) 257-3500